Live in Wisconsin, work in Minnesota
State income tax on wages · single filer · tax year 2026
Minnesota takes
$2,557
on wages earned there
Wisconsin takes
$0
after the credit it gives
Both together
$2,557
state tax for the year
Cost of the line
$449
a year, above working at home
What crossing the line costs
costs youMinnesota charges more than Wisconsin would, and Wisconsin only credits you up to its own bill — so the difference stays with you. Solid is what you actually pay; the faded part of the Wisconsin bar is the credit it hands back. State income tax only — federal and payroll tax apply on top, and a city wage tax may too.
Which state taxes you, and what it costs
- Crossing this line costs money. Minnesota taxes what you earn there. Wisconsin taxes you too, because you live there, and then gives you credit for what Minnesota already took. The catch is the size of that credit. It stops at what Wisconsin would have charged on its own. So you end up paying the bigger of the two bills, which here means $2,557 a year instead of $2,107. The commute itself accounts for $449 of that.
- More people make this crossing than any other into Minnesota. About 66,412 jobs there are held by people living in Wisconsin — the biggest of the 3 routes of this size into the state. Whatever this page says about the tax, it is describing a very well-worn road.
- Minnesota taxes wages earned inside its borders by non-residents, and Wisconsin taxes its residents on the same wages wherever they are earned. The resident credit resolves the overlap but does not erase it: Wisconsin credits tax paid to Minnesota only up to what it would itself have charged on that income, so the commuter settles at the higher of the two liabilities rather than the sum. At the reference salary that is $2,557 against $2,107 for the same earner working at home — $449 attributable to the state line itself. ⚠️ The corollary is the part most readers have backwards: moving to a cheaper home state while keeping the job in Minnesota changes the split between the two treasuries and not the total.
- Measured against every other state sending commuters into Minnesota, this is the largest single flow: 66,412 jobs held by Wisconsin residents, ahead of all 3 corridors of this size into that state. Census LODES counts jobs rather than people, so a worker holding two positions in Minnesota appears twice.
Where the money goes
A $75,000 salary
- Federal income tax$7,670
- Social Security and Medicare$5,738
- State income tax$2,998
- Yours$58,595
| Federal income tax10.23% | $7,670 |
|---|---|
| Social Security and Medicare7.65% | $5,738 |
| State income tax4% | $2,998 |
| Yours78.13% | $58,595 |
Which rung you are on
A $75,000 salary
| This rung starts at | $66,500 |
|---|---|
| Next rung starts at | $121,800 |
| Room before it | $46,800 |
Federal only, measured on gross pay — so the first rung is what the standard deduction covers.
The arithmetic, step by step
| Minnesota takes, on wages earned there | $2,557 |
|---|---|
| Wisconsin charges its residents | $2,107 |
| Less the credit Wisconsin gives | $2,107 |
| Total state tax | $2,557 |
| If you also worked in Wisconsin | $2,107 |
| Difference | $449 |
On a reference salary of $60,000 a year, single filer. Both states run progressive schedules, so the figures do not simply scale — use the tool above for your own salary.
What this page does not cover
- What you see here is state tax between Wisconsin and Minnesota. Cities can charge their own tax on top, and a handful do. That layer is not modeled on this page, so treat these figures as the floor rather than the final bill.
- The figures take the simple case: one job, in Minnesota, worked in person. Money from several states makes the credit a proportion instead of a cap. Working remotely from Wisconsin can pull you under a different rule entirely, depending on the state.
- Every dollar figure here uses a salary of sixty thousand a year. It is a stated benchmark, not a guess at what people on this route earn. Scale them to your own pay. Which state ends up dearer, Wisconsin or Minnesota, generally holds at other salaries — though the gap between them can widen or narrow as you cross tax brackets.
- These figures cover the STATE layer only. City and municipal wage taxes sit on top of them and are not included: a commuter into Philadelphia pays its wage tax on top of anything here, and Ohio's municipalities run their own credit system, which this site models in its own families. New York City, by contrast, taxes only its residents, so a commuter into it adds nothing at the city level. Whether Minnesota or Wisconsin carries a local layer is a separate question from the state arithmetic above.
- The arithmetic assumes all wages are earned in Minnesota and that there is no other income. That matters for the credit: where income comes from several states, Wisconsin limits the credit to the share of its own tax attributable to the Minnesota portion, computed as a ratio rather than the straightforward cap used above. It also assumes days are worked in Minnesota rather than remotely — several states tax a non-resident's remote days as though they were worked at the employer's location, which reverses the usual expectation and is handled on this site's reciprocity pages.
- Dollar amounts are computed at a stated reference salary of sixty thousand rather than a corridor wage average, which no published source provides per state pair. Because both states' liabilities and the credit between them are functions of the same income, the direction of the Wisconsin to Minnesota comparison holds at other salaries even though the amounts do not — with one qualification worth stating, that a progressive schedule can change the SIZE of the gap at higher incomes, and in Minnesota's case a bracket crossed on one side and not the other is exactly where that happens.
Questions people ask
Do I pay state tax twice, to Wisconsin and Minnesota?
Both states tax the same wages, and then one of them backs off. Minnesota taxes what you earn inside it. Wisconsin taxes you on everything, then subtracts what Minnesota already took, up to the size of its own bill. You end up paying the larger of the two, which is $2,557 a year on this route.
Would moving out of Wisconsin lower my state tax if I keep working in Minnesota?
Not while you work in Minnesota. That state's claim comes from where the work happens. Wisconsin is the one giving ground, through the credit, and a cheaper home state gives less ground rather than costing you less. The number that matters is set by Minnesota.
Do I have to file tax returns in both Wisconsin and Minnesota?
Usually yes, and it catches people out. Wisconsin wants a return because you live there. Minnesota usually wants one too, because you earned money inside it — even in the cases where you end up owing it nothing. Filing in a state and paying it are separate things, and the return is often what proves you do not owe.
What if I work from home in Wisconsin some days instead of going to Minnesota?
It depends on the state, and the answer is not the one most people expect. You might assume a day worked at your kitchen table in Wisconsin is taxed by Wisconsin. Usually that is right, and your Minnesota share shrinks to the days you were actually there. But a few states tax days you work at home as though you had been in the office, unless your employer required you to be elsewhere. It is worth checking which kind Minnesota is before assuming.
How is liability allocated between residence and work state on the same wages?
Both jurisdictions assert a claim on the same wages — Minnesota on a source basis, Wisconsin on residence. The residence state grants a credit for tax paid to the source state, limited to the residence state's own liability on that income. Net combined liability therefore equals the greater of the two liabilities rather than their sum, $2,557 at the reference salary, and the split between the two treasuries is the only thing the credit changes.
Does changing residence reduce combined liability while the work state is unchanged?
No, while the source state is unchanged. Minnesota's claim arises from where the services are performed and is unaffected by residence. Because the residence credit is capped at the residence state's own liability, combined liability equals the greater of the two — so substituting a lower-tax residence reduces the residence-state component toward zero while leaving the total at Minnesota's level. The binding variable is the work location, not the home one.
What filing obligations arise in each state on this corridor?
Generally two. Wisconsin requires a resident return reporting all income; Minnesota requires a non-resident return reporting the income sourced to it, which is also the mechanism by which the resident credit is substantiated. ⚠️ A filing obligation is distinct from a liability: a reciprocity exemption or a zero net position removes tax without necessarily removing the return, and the non-resident return is frequently what establishes the credit claimed on the resident one.
How do remote working days affect sourcing between these two states?
Ordinarily wages are sourced to where the services are performed, so days worked remotely from Wisconsin fall outside Minnesota's jurisdiction and the source-state apportionment shrinks accordingly. ⛔ The exception is the "convenience of the employer" rule, which several states apply: a non-resident's remote days are sourced to the employer's location unless the remote work is required by the employer rather than chosen by the employee. The figures on this page model in-person attendance in Minnesota throughout.